Ross Deceptive Pricing Class Action Should Continue, Shoppers Argue

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The plaintiffs in a class action lawsuit accusing Ross Stores Inc. of using deceptive pricing tactics have fought back against the retailer’s motion for summary judgment, arguing that the evidence supports their claims that Ross violated consumer protection laws.

On Monday, Ross filed a motion opposing the plaintiffs’ motion for Class certification for the deceptive pricing class action lawsuit, claiming the plaintiffs cannot show their claims are typical of other putative Class Members. The retailer has also asked a judge to grant summary judgment on all of the plaintiffs’ claims.

The plaintiffs dispute the motion, claiming it “is built on the false premise that Plaintiffs’ claims, and thus Defendant’s liability, are dependent on the products Plaintiffs purchased and the supposed reasonableness of the advertised reference prices (‘ARPs’) listed on the price tags. Defendant is incorrect.”

Plaintiffs Jose Jacobo and Theresa Metoyer assert their claims are not based on the reasonableness of the prices at Ross Stores. Instead, their claims hinge on the manner in which Ross determines its ARPs and the language used on the price tags.

The Ross deceptive pricing class action lawsuit, which was filed in June 2015, challenged the retailer’s advertising that merchandise is “20-60% off department store prices every day.” The plaintiffs claim that Ross uses misleading methods of determining comparative prices to make consumers believe they are getting a “sale price” on merchandise sold at Ross.

Jacobo claims he believed the products he was purchasing were being sold at a discount from department stores’ pricing. Based on Ross’s representations, he believed the prices would always be better at Ross. He claims this representation by Ross was meant to discourage shoppers from visiting other stores in search of lower prices.

Ross disputes this claim and maintains its “compare at” prices are based on “fact-intensive research.”

“The Compare At price ‘represents a recent documented selling price of the same or similar product in full-price department stores or specialty stores,’” Ross says in its motion opposing Class certification. The retailer also maintains its “compare at” pricing policy is displayed prominently at Ross stores and at the company’s website.

The plaintiffs also challenged this assertion, claiming they have found that signs informing consumers about Ross’s “compare at” pricing are often placed only in fitting rooms.

According to the plaintiffs, Ross itself has admitted that the price tags at its stores in California have been confusing and misleading.

“Defendant itself does not know what its ARPs refer to,” the plaintiffs state. “There can be no serious dispute, then, that Ross’s price tags are likely to mislead, deceive or confuse reasonable consumers, including Plaintiffs.”

According to court documents, a hearing will be held on June 26, 2017.

The plaintiffs are represented by Douglas Caiafa of Douglas Caiafa APLC and Christopher Morosoff of the Law Office of Christopher J. Morosoff.

The Ross Deceptive Pricing Class Action Lawsuit is Jose Jacobo, et al. v. Ross Stores Inc., Case No. 2:15-cv-04701, in the U.S. District Court for the Central District of California.

UPDATE: On Sept. 29, 2018, consumers in the Ross class action lawsuit alleging the store deceptively priced items say they’ve reached a settlement agreement totaling $4.85 million.

UPDATE 2: January 2019, the Ross “compare at” pricing class action settlement is now open. Click here to file a claim.

UPDATE 3: On Nov. 29, 2019, Top Class Actions viewers started receiving gift cards from the Ross class action settlement worth as much as $10.49. Congratulations to everyone who filed a valid claim and got PAID!